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PH FedACTion: Financial Regulatory Updates

Daily Financial Regulation Update -- Tuesday December 3

December 03, 2024

By Paul Hastings Professional

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Congress

U.S. House of Representatives

Committee on Financial Services

McHenry, Waters Lead Bipartisan Efforts Highlighting the Impact of AI on the Financial Services and Housing Industries

December 2, 2024

Ahead of a hearing to examine how technology is shaping the future of finance, the Chairman of the House Financial Services Committee, Patrick McHenry (NC-10), and Ranking Member Maxine Waters (CA-43) introduced a bipartisan bill and a bipartisan resolution highlighting the impact of artificial intelligence (AI) on the financial services and housing industries.

 

Federal Agencies

Federal Reserve Board

Speech: Cut or Skip?

December 2, 2024

Federal Reserve Board Governor Christopher J. Waller gave a speech entitled “Cut or Skip?” at "Building a Better Fed Framework," American Institute for Economic Research Monetary Conference, Washington, D.C.

 

Federal Reserve Bank of New York

Speech: The Journey

December 2, 2024

Federal Reserve Bank of New York President and CEO John C. Williams gave a speech entitled “The Journey,” at the Queens Chamber of Commerce.

 

Federal Deposit Insurance Corporation

FDIC Finalizes Rule to Modernize Official Signs and Advertising Statement Requirements for Insured Depository Institutions

December 2, 2024

The Federal Deposit Insurance Corporation (FDIC) Board of Directors adopted a final rule to amend part 328 of its regulations to modernize the rules governing use of the official FDIC signs and advertising statements, and to clarify the FDIC’s regulations regarding false advertising, misrepresentations of deposit insurance coverage, and misuse of the FDIC’s name or logo.

 

OIG Report: Semiannual Report to the Congress: April 1, 2024 – September 30, 2024

December 2, 2024

The Office of Inspector General of the Federal Deposit Insurance Corporation published the semiannual report to Congress for the time period April 1, 2024 – September 30, 2024.

 

International

European Banking Authority

EU banks continue to be robust although risks from geopolitical tensions and cyber threats remain significant, the EBA Report shows

November 29, 2024

The European Banking Authority published the autumn edition of its risk assessment report.

 

Bank of England

Consultation Paper: Revocation of the on-shored UK Technical Standard (UKTS) 2019/348 on Simplified Obligations

December 2, 2024

The Bank of England published a consultation paper entitled “Revocation of the on-shored UK Technical Standard (UKTS) 2019/348 on Simplified Obligations.”

 

Speech: The SWES: using system-wide scenario analysis to spot systemic risks

December 2, 2024

Bank of England Director Lee Foulger gave a speech entitled “The SWES: using system-wide scenario analysis to spot systemic risks.”

 

Financial Stability Report - November 2024

November 29, 2024

The Bank of England’s Financial Policy Committee released the Financial Stability Report for November 2024.

 

The Bank of England's system-wide exploratory scenario exercise final report

November 29, 2024

The Bank of England released the results of its system-wide exploratory scenario exercise which explores how the UK financial system would respond to a market shock. It is the first exercise of its kind globally.

 

The Bank of England’s approach to stress testing the UK banking system

November 29, 2024

The Bank of England published its updated approach to stress testing the UK banking system.

 

2024 CCP Supervisory Stress Test: results report

November 29, 2024

The Bank of England released the results of the Supervisory Stress Test of Central Counterparties.

 

Money and Credit - October 2024

November

The Bank of England published the Money and Credit statistical release and effective interest rates for October 2024.

 

Bank of England Prudential Regulation Authority

Annual Assessment of the Credit Union Sector

December 2, 2024

Letter from Helen Ainsworth to directors of credit unions setting out key findings from the PRA annual assessment for this peer group and the actions the PRA expects directors to take.

 

Policy Statement: Strong and Simple Framework: The definition of an Interim Capital Regime (ICR) firm

November 29, 2024

The Prudential Regulation Authority published a policy statement entitled “Strong and Simple Framework: The definition of an Interim Capital Regime (ICR) firm.”

 

Other systemically important institutions (O-SII) buffer rates for ring-fenced banks and large building societies

November 29, 2024

The Prudential Regulation Authority has set the 2024 O-SII buffer rates for ring-fenced banks and large building societies.

 

2024 list of UK headquartered global systemically important institutions (G-SII)

November 28, 2024

The Prudential Regulation Authority has disclosed the 2024 list of UK headquartered G-SIIs and their respective buffers.

 

Financial Conduct Authority

FCA direction to modify the UK’s derivatives trading obligation

November 29, 2024

The Financial Conduct Authority is updating the direction modifying the UK’s derivatives trading obligation from December 31, 2024.

 

FCA seeks further views on enforcement transparency proposals

November 28, 2024

The Financial Conduct Authority has published the second phase of its consultation on proposals for a measured increase in transparency about its enforcement investigations, and set out plans for further engagement after significant concerns were raised in relation to the original consultation.

 

Speech: Inclusive growth: laying foundations, seizing innovations

November 28, 2024

Bank of England Executive Director Sarah Pritchard gave a speech entitled “Inclusive growth: laying foundations, seizing innovations,” at The Investing and Saving Alliance Annual Conference.

 

Administration Changes

Vacancies

Office of the Comptroller of the Currency

  • Comptroller – Vacant (Michael Hsu serves as Acting Comptroller)

Appointments/Confirmation Hearings

U.S. Department of the Treasury – Janet Yellen (effective January 26, 2021)

Federal Reserve Board – Jerome H. Powell (effective May 23, 2022)

  • Vice Chair Phillip N Jefferson (sworn in September 13, 2023)
  • Vice Chair for Supervision Michael Barr (sworn in July 19, 2022)
  • Governor Michelle W. Bowman (sworn in November 26, 2018)
  • Governor Christopher J. Waller (sworn in December 18, 2020)
  • Governor Lisa D. Cook (sworn in September 13, 2022)
  • Governor Adriana D. Kugler (sworn in September 13, 2023)

Federal Reserve Bank of New York – John C. Williams (effective June 18, 2018)

Federal Reserve Bank of Boston – Susan M. Collins (effective July 1, 2022)

Federal Deposit Insurance Corporation – Martin Gruenberg (resigning effective January 19, 2025)

  • Vice Chairman Travis Hill (sworn in January 5, 2023)
  • Director Jonathan McKernan (sworn in January 5, 2023)
  • Director Michael Hsu (Acting Comptroller of the Currency)
  • Director Rohit Chopra (Director of Consumer Financial Protection Bureau)

Office of the Comptroller of the Currency – Michael Hsu (acting Comptroller, effective May 10, 2021)

Securities and Exchange Commission – Gary Gensler (resigning January 20, 2025)

Commodity Futures Trading Commission – Rostin Behnam (effective December 17, 2021)

Consumer Financial Protection Bureau – Rohit Chopra (effective October 12, 2021)

National Credit Union Administration – Todd M. Harper (effective January 20, 2021)

Small Business Administration – Isabella Casillas Guzman (effective March 16, 2021)

U.S. Department of Housing and Urban Development – Scott Turner (nominated November 2024); Marcia Fudge (resigned March 11, 2024, effective March 22, 2024)

Federal Housing Finance Agency – Sandra L. Thompson (effective June 22, 2022)

U.S. Department of Education – Linda McMahon (nominated November 2024); Dr. Miguel Cardona (effective March 2, 2021)

Financial Crimes Enforcement Network – Andrea Gacki (effective July 13, 2023)

 

 

PH Client Alerts

Click here to read more from our Coronavirus series.

 

Legislation/Legislative Updates

Click here to view the full text of the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”), Enacted March 27, 2020.

Click here to view the full text of the Paycheck Protection Program Increase Act of 2020, Enacted April 24, 2020.

Click here to view the full text of the Paycheck Protection Program Flexibility Act of 2020, Enacted June 5, 2020.

Click here to view the full text of the Consolidated Appropriations Act, 2021, Enacted December 27, 2020.  

Click here to view the full text of the American Rescue Plan of 2021, Enacted March 11, 2021.

Click here to view the full text of the PPP Extension Act of 2021, Enacted March 30, 2021.

Click here to view a running list of proposed legislation from the Senate Committee on Banking, Housing, and Urban Affairs, Senate Committee on Small Business and Entrepreneurship, House Committee on Financial Services, and House Committee on Small Business